DECA Sports and Entertainment Marketing Practice Exam

Which marketing strategy involves offering additional incentives for a limited time?

1. Public relations

2. Sales promotion

3. Advertising campaign

4. Customer retention

The correct answer is: Sales promotion

The marketing strategy that involves offering additional incentives for a limited time is sales promotion. This strategy is designed to stimulate immediate interest and encourage short-term purchasing actions by providing consumers with extra value. Common examples of sales promotions include discounts, coupons, buy-one-get-one-free offers, and limited-time offers. These incentives create urgency among consumers, motivating them to make a purchase quickly rather than later. Public relations typically focuses on building and maintaining a positive image for a brand or company over an extended time through media relations, community involvement, and other non-paid communications strategies. While it may involve promotional tactics, it does not consist of time-limited incentives aimed directly at boosting immediate sales. An advertising campaign is a structured approach to promoting products or services, often using various media platforms to convey a marketing message. Although advertising can generate awareness and interest, it does not inherently include short-term incentives or offers. Customer retention strategies emphasize keeping existing customers engaged and satisfied over time. These efforts might involve loyalty programs or personalized communication but do not typically focus on short-term incentives like those seen in sales promotions. Therefore, the distinction of sales promotion lies in its ability to provide immediate incentives to drive sales, aligning perfectly with the question's requirements.